Big Data

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Turning data into information

© Copyright IBM Corporation 2007 Course materials may not be reproduced in whole or in part without the prior written permission of IBM.

4.0.3

Unit objectives
After completing this unit, you should be able to: Explain how Business and Data is correlated Discuss the concept of turning data into information Describe the relationships between DW, BI, and Data Insight Identify the components of a DW architecture Summarize the Insight requirements and goals of a business

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Business and data

Business World

Data World

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The challanges Customer Business Issues
Too much information and not knowing what’s important
– Not using demand signals to drive supply chain – Not using customer analysis to tailor marketing and sales – Not leveraging valuable unstructured information

Multiple versions of the truth
– Problems managing customer, product and partner interactions – Regulatory compliance inhibited by poor transparency

Lack of trusted information
– Incomplete, out-of-date, inaccurate, misinterpreted data – Difficult to understand or control how information is used

Lack of agility
– Inability to take advantage of opportunities for innovation – Escalating costs due to inflexible systems and changing needs © Copyright IBM Corporation 2007

Data, Information, Insight
● ● ● ● ● Insights and context from the mind Requires reflection and synthesis Difficult to structure, capture on machines, and transfer Often tacit

Insight

Information

● Data endowed with relevance and purpose ● Need consensus on meaning ● Human mediation necessary

Data

● Discrete, objective facts about the world ● Easily structured and captured ● Easily transferred © Copyright IBM Corporation 2007

Data

Data has in itself little semantic content: For example:

PRICE: US$ 20000

Data will have more meaning, when presented as a part of a structure (context):

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Information
Information is relevant if it makes a difference to receive it or not

PRICE: US$ 20000

JEEP CHEROKEE

2007

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Insight
Information is the source of insight:
JEEP CHER. JEEP CHER. JEEP CHER. JEEP CHER. JEEP CHER. JEEP CHER. 2007 2007 2007 2007 2007 2007 New New New Used Used Used © Copyright IBM Corporation 2007

0 miles 0 miles 10 miles 2000 miles 5000 miles 7000 miles

US$ 20000 US$ 25000 US$ 20000 US$ 20000 US$ 19000 US$ 18000

Insight is not enough
Insight
Business flexibility and responsiveness

Information

e iv t ip cr s re p

Action

Data

pa ss iv e
Business value
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ac tiv e

What is ...

Data Warehouse

Dynamic Warehouse

Data Mart

Decission Support System MDM

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Data decision challange

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Different data for different users

Operational systems Order Entry Payroll Accounts Receivables Personnel

Informational systems Product Sales Trend Analysis Ad-Hoc Queries Data Mining

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Operational versus Informational data
Application-Oriented Limited Integration Constantly Updated Current Values Only Supports Day-to-Day Operation Subject-Oriented Integrated Nonvolatile Values Over Time Supports Management Decisions

Operational data

Informational data
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Where is informational data?
Operational Data Informational Data
Data Warehouse Environment

User Access

Knowledge

Data Warehouse

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What is a Data Warehouse?
Data Source
Data Warehouse Environment

Two-tier Data Warehouse

Data Warehouse

One-tier Data Warehouse
Management Information System

ODS

Virtual Data Warehouse

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Logical tiers in a Data Warehouse

Data Source Operational Data OLTP...
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